U.S. Homeowners Tap $47 Billion of Home Equity in First Quarter, Most Since 2021

Cumulative gains in U.S. home prices have left many homeowners with substantial equity, but the “lock-in effect” created by earlier low-rate mortgages means cash-out refinancing often requires borrowers to surrender their existing low rates. As a result, keeping a first mortgage in place while borrowing through a second lien has become an important trend in household financing and financial institutions’ product strategies.

ICE Mortgage Technology found that U.S. homeowners withdrew $47 billion of home equity through home loans in the first quarter of 2026, the highest amount for the period since 2021. The latest data show that homeowners continue to actively tap accumulated housing wealth despite persistently high borrowing costs, further driving growth in demand for second-lien mortgages.